It is easier to make a watch than to sell a watch

Proof? Walk down the Sydney watch district: tens of thousands of Omega, JLC, Breitling, Hublot, Cartier, Panerai and Vacheron sitting quietly on display - for months and years, awaiting patiently to be placed on the wrist of a watch enthusiast. 'But what about Rolex' - you ask. What about it? Rolex spends hundreds of millions of dollars on advertising, year after year, decade after decade. And even Rolex has billions of dollars of watches in stock, sitting and waiting to be sold. There are very few products out there that sell themselves. But even brute advertising has only a limited effect on a potential buyer. What works better than a glossy full page advertisement, is a write-up in the form of a 'testimonial' or 'recommendation' or a watch review by a 'trusted watch expert'. Disguised as a non-advert, it is actually nothing more than a fully paid commercial message pushed down your throat, coated with a thin layer of Swissness. This is how it is, this is how luxury works, and there is nothing we can do about it. Branding and resale value counts more than workmanship, performance, horological complexity or even the overall quality of a watch. Quite often, I am approached by newspaper publishers and online influencers who blatantly offer clicks, editorials, favourable reviews, right down to testimonials. "You have such a powerful story, a great Australian made watch - and we are ready to help. Let’s share the excitement with our readers and followers." But I would rather poke both my eyes with the sharpest Dumont tweezers than to allow a self-proclaimed watch expert tell my story. Not because I am blind to see the correlation between money 'invested' in advertising and number of watches sold, but because those brand experts have no clue about watchmaking. They have no idea what it takes to make a watch in a small workshop, in a country with no watchmaking heritage. Those who are interested in Australian watches, and Australian watchmakers would not benefit from hearing that story from a self-proclaimed expert who does not understand it and does not believe it himself. I'd rather not sell a watch than to sell it with the help of Judas. Let me give you just one example. In front of me is a newly completed batch of dials for MK2. This dial is the pinnacle of our in-house manufacturing. Titanium, guilloche, anodized, printed, with in house titanium feathered indices. And it is perfect, in every way, to the smallest detail visible only under a microscope. In the entire history of Australia, no other watchmaker, ever, has produced a watch dial of this complexity and beauty, and especially not in an exotic material like Titanium. This is a fact. I can talk for hours about it, I can show you the processes - from design to final stage of welding the indices - I can show you the machines, and the people who actually made this dial. I can tell you how painful it is to give birth to a watch dial. There are thousands of watchmakers in the world who can make a watch, but only a handful who can make dial like this one. So why in the world would I pay anyone to re-tell my story? For the past ten years, our goal was to make a point. To show the world - and especially Swiss brands - that we can make a watch in Australia. Not any watch - but a watch that would be as good as a Swiss made watch. We are not there yet - but we have already proven that we can do it. The results speak for themselves. How many watches we will make, and how many we will sell is completely irrelevant. I don't care. I could not care less. Sales and money does not matter in the slightest. What I do care about is to make the owner of an NH watch the proudest watch ambassador. Someone who will wear my watch knowing that he wears the best, most unique, most special watch ever manufactured in Australia. That's what I care about. What about you? Mark II "Curl Curl" 40mm case size. Stainless steel case and leather strap. 11mm case thickness. Sapphire crystal. Grade 5 titanium anodised base dial, with guilloche "Curl Curl waves" pattern. Titanium hands and applied numerals. Soprod automatic movement. 40 hours power reserve.   Both blue and orange available for immediate delivery.  Price: $7,900

At a crossroad...

The past two years could be simply summed up as years of exciting discoveries and team building. After setting up the micro machining workshop, we have discovered that the high precision parts we make are highly sought after in space, telecommunications and the medical industries. And it is not just the parts themselves that excite our customers - it is our ability to work closely with them in the field of research and development, allowing them to take their project to next level. Here is just one example of such co-operation. A well established customer has approached us last year with a request for a part that they've been struggling with for quite some time. The part is complex in the sense that it requires not just precision, but extreme consistency, meaning that a part made today will be identical to one made six months ago as to one to be made in a year from now. They have tried to have it made in Germany, Switzerland and the US. The results were good, but not perfect. Consequently, due to the lack of consistency, they were struggling to prove the theoretical concept in a practical way, and then to fine tune it further. They knew that the magic happens in a region where the "junction holes" are between 70 and 75 microns in size, but the parts they were getting were simply too inconsistent, varying from batch to batch. After a few attempts, and for the first time in the life of their project, we were delivering both 70 and 75 micron holes. They were over the moon. Not only have we beaten our competitors, but we are also able to hit even more specific dimensions - we can make perfect parts 'on demand' with holes of 72 and 74 microns in size. We took them to the next level. Why? Because our young team is crazy eager to prove ourselves as makers of parts that others call 'impossible to make'. And the more impossible parts we make, the more customers we have knocking on our door. The problem is, we have no capacity to scale up, to make parts in volume and fully satisfy a customer's demands. Those high precision parts take hours to make. For example, running both Kern mills for 18 hours per day would produce 25 to 30 parts per week. Our customer needs 500. And this is just one project, by one customer, in one industry. Being at the crossroads means at least two options: One, to continue to grow organically, and stay at a prototyping service level. Zero risk, satisfying but painfully slow. Option two, to seize the opportunity to expand; to double our manufacturing capacity. Hard and pricey. Only time will tell...

Skull and Skeleton

KENTARO x SEIKO x AUSTRALIA "Kentaro Yoshida, an artist originally from a small fishing village in Toyama, Japan, moved to Australia at 18 to embrace a new lifestyle. Drawn to the opportunity to learn English and enjoy the sunny beaches, Kentaro has since made Australia his home, now living and working on the Northern Beaches of Sydney. Kentaro’s passion for both traditional and digital media shines through in his pastel-coloured artwork, which often features bold lines, quirky characters, and a light-hearted, beachside humour. He specialises in hand-painted art, creating everything from large-scale murals to intricate watercolour paintings." Seiko 5 Sports x Kentaro Yoshida Limited Edition Collection Created in collaboration with renowned artist, this Seiko 5 Sports series draws inspiration from Kentaro’s artistic journey in Australia, reflecting the landscapes, culture, and lifestyle that have shaped his distinctive vision. Tribute to Time Through Kentaro’s Eyes: “Time Goes by Forever” Kentaro Yoshida was commissioned to create the original artwork, “Time Goes by Forever,” as the foundation for this collaboration with Seiko Australia. The theme embodies the concept of time as an endless cycle, reflecting the continuous motion of life. Drawing from elements of nature—Clouds & Sky, Sun, Moon & Beach, and Wild Plants & Flowers—Kentaro’s artwork captures the essence of growth, change, and the inevitability of time’s passage. The collection’s overarching concept revolves around time’s perpetual cycles: the sun rising and setting, plants blooming and withering, waves continuously rolling in, and clouds drifting across the sky. These motifs remind us that while time moves forward relentlessly, it is up to each of us to decide how to spend it. Each piece in the collection weaves these themes into its design, creating a cohesive narrative that celebrates the duality of time: both relentless and precious. Three Timepieces Inspired by Nature’s Elements

SRPL25K: Clouds & Sky Symbolising fleeting, transient moments, the “Clouds & Sky” timepiece features a sophisticated dark chromatic dial that evokes the depth of the skies. Complemented by a durable black silicone strap, it offers a sleek and timeless aesthetic. SRPL26K: Sun, Moon & Beach Reflecting the rhythm of the ocean and celestial transitions, the “Sun, Moon & Beach” watch shines with a yellow gold stainless steel case and matching bracelet. Its design captures the warmth and brilliance of sunlit beaches and the endless motion of ocean waves. SRPL27K: Wild Plants & Flowers Representing growth and renewal, this model features a vibrant green dial adorned with intricate motifs inspired by wild plants and blooming flowers. A stainless steel case paired with a green nylon strap creates a harmonious, monochromatic design. Symbolism and Craftsmanship Each timepiece incorporates Kentaro’s signature skull and skeleton motifs, seamlessly integrated into the designs. Powered by the reliable Calibre 4R36 movement, they offer a 41-hour power reserve for enduring performance. With a case diameter of 42.5mm and a thickness of 13.4mm, the timepieces provide a bold yet practical design. Water resistance up to 100 metres ensures durability for everyday adventures. A Limited Edition for Collectors Completing the design, each watch features a case back engraved with Kentaro’s signature logo and is presented in a limited edition tin box that complements the artwork’s colour theme. A super rare opportunity for Australian collectors! Price: $695 each

Pictures tell a thousand words

I mentioned in an earlier newsletter that we have been working on the next NHW release- every watch we’ve released since the NH1 in 2018 has felt like a horological pinnacle for our small outfit, but this next watch, what we are tentatively calling the NH4, feels like a quantum leap. Today we (successfully!) tested the second prototype of the NH4 movement- a watch in which we now manufacture one of that hardest, most finnicky components in, the oscillator. The balance wheel, and regulation assembly is mind bogglingly tough to make, but instead of regaling you with the manufacturing stories, I’ll just show you some pictures of the last 2 weeks of prototyping.  Josh Hacko

Balance wheel adjustment screw: M0.4

Big stud

 

For the last 12 months we have been working on our next release from NHW. While it's still far too early to talk about the watch, I can say that it's pushing the limits of our manufacturing, in the best way possible. In this photo below, you can see a component called a "stud". It's an incredibly small part that holds onto the hairspring of the watch. Like all components in a watch, the stud is very tightly toleranced, and requires the utmost care in design, manufacturing, assembly and decoration.  Our in-house, NHW stud is made from titanium, which is very rare - usually studs are made from either steel, which is magnetic and may influence the very fine motion of the hairspring, or from brass. Titanium offers superior strength, anti-magnetic properties, and is light, corrosion resistant and holds a very good aesthetic finish.  Manufacturing something this small is a feat of our machinists here at NHW. Burrs, cracks, nicks, or any other defect totally destroy the function or aesthetic quality of the part. Even a small scratch, a 10th of the size of your hair, would render this stud useless! 10 years ago if you told me that this part was going to be in my palm, made by our internal workshop... I wouldn't have believed it, but here we are. Modern artisanal watchmaking, Manufactured in Australia. Josh Hacko

Crème de la crème

 

ANCA is Australia’s only machine tool builder. Established 50 years ago by Pat Boland and Pat McCluskey, ANCA has been manufacturing the machines that manufacture the tools that are used in CNC machines worldwide and across all industries, to make parts. In short, ANCA are at the bleeding edge of the manufacturing chain. It would not be a stretch to say that ANCA have influenced every single object around you in one way or another. Based in Melbourne, and employing over 1000 people worldwide, ANCA believes strongly in Australian Manufacturing. NH Micro is a supplier to ANCA, and last year I had the pleasure to walk through their manufacturing facilities in Bayswater North - truly incredible. They are completely vertically integrated, making and assembling nearly every component of their machine in-house. This is a level of industrial strength that you would only see in Japan, Germany, Switzerland and the US.   Just this weekend, the two Pat’s – Boland and McCluskey, were honoured by our government, each being presented with the Medal of the Order of Australia (OAM), in recognition of their achievements in Australian Manufacturing. The story of ANCA is far more in-depth than just a few paragraphs here, and to capture it, the company has filmed a documentary sharing their journey. It is one of the most inspirational Australian Manufacturing stories I’ve ever seen. I can highly recommend watching it. https://www.youtube.com/watch?v=T6NBl9gEJ1k Josh Hacko

Update from the workshop

 

Manufacturing complex parts for our watches, as well as for industries outside of watchmaking, requires complex metrology, too. In this case we are seeing what the limits are of our new Zeiss Coordinate Measuring Machine (CMM).  CMM's use tactile measuring devices in the form of ruby spheres to very accurately "feel" how big (or small) a part is. On our new CMM from Zeiss, we've been able to use this method to measure parts with a certainty below 1um - that's such a small value, it's difficult to even comprehend! For reference, a human blood cell is around 7um in diameter. Tactile measurement has worked incredibly well for us, and generally works very well when the feature sizes are relatively large - so you can use a large ruby sphere (called a stylus). But, part of the reason of why we purchased this particular machine was due to its very unique ability to use incredibly small styli. Generally these ruby spheres are around 1mm in diameter, or larger - however this can pose problems when the parts you are trying to measure are very small in and of themselves! For example, measuring a hole that is 0.5mm in diameter, you would need a ruby that is significantly smaller than the hole size!  Last week we pulled out our new 0.2mm stylus - this ruby is just two sheets of paper in diameter, or about 3 human hairs wide! It's dwarfed against the tip of a ballpoint pen, and requires a special ceramic sphere to calibrate it in our Zeiss CMM, shown below.

These probe tips or styli are manufacturing marvels themselves - here is a great video walk through of how these tiny measuring devices are manufactured! https://www.youtube.com/watch?v=a3oINXdHLNw When we set out to do watch manufacturing in Australia, I never thought we would be doing this! Josh Hacko